Ocado Group PLC (LSE:OCDO) has sold new robot technology to US grocery chain Kroger as part of their ongoing partnership, meaning fewer human workers will need to be used in its online grocery warehouses.
The FTSE 250-listed group said Kroger has ordered a "wide range of new automated technologies" that "will bring new levels of efficiency and labour productivity".
Ocado said its On-Grid Robotic Pick technology, which it is already rolling out in UK warehouses, is able to pick up and carry 70% more items than previous robots.
The system involves a robotic arm receiving grocery items from the 'bots' operating on top of the grid and placing them into customer bags, further reducing the use of humans in the warehouses.
Ocado said this means retailers can stock up to 50,000 different products each that can be dealt with by robot arms, which have the sensitivity to cope with both delicate and heavy items.
Chief executive Tim Steiner said it would deliver "a step-change in warehouse automation" and the tweak to the contract with Kroger was "another exciting milestone".